No Easy Solution To Global Container Shortage
The current shortage of containers has resulted in high freight rates for exporters and disrupted many Malaysian businesses that trade globally.
This, in turn, has led to calls from the Malaysian National Shippers’ Council (MNSC) for the government to intervene and provide some sort of fiscal relief to exporters in the form of tax incentives and the removal of the cap on total logistics costs for a Market Development Grant. (The grant, capped at 30% of logistics costs, is given by the government to encourage companies to expand their market.)
The Federation of Malaysian Manufacturers (FMM) is also urging the government and the port authorities to leverage their relationships with shipping lines to get them to provide more services and capacity to Malaysian ports.
Foreign labour blunder Pix for representational purpose only.
PETALING JAYA: Two proposals – one to impose new conditions on the recruitment of foreign workers and another to raise the levy on them – have been quickly shot down by stakeholders and experts.
Rather than helping to solve the labour problem in Malaysia, they will only increase costs to businesses and even disrupt supply chains, both of which are unaffordable, especially in times of crisis.
Malaysia’s over-dependence on foreign labour cannot be overstated. The 3D (dangerous, difficult, dirty) jobs are almost entirely taken up by foreigners given that Malaysians are reluctant to engage in such work, underling the significant role migrant worker play in Malaysia’s economic and infrastructure development.
PETALING JAYA: Logistical challenges must be addressed in order to contain the Covid-19 outbreaks among the migrant workers community, say employers and workers.
This comes as a surge of cases is expected from the mandatory screening among foreign workers, especially those at construction sites and factories.
The mandatory screening on foreign workers began on Dec 1.
Malaysian Employers Federation executive director Datuk Shamsuddin Bardan (
pic) said companies are having to make arrangements with the service providers on how best to get their workers screened.
“Employers have to minimise disruption to the operations. They can try to make proper arrangements with the service providers to come to their site to do the screening.